Financial Planning & Analysis - Recent Threads

SEC Proposes Optional Semiannual Reporting for Public Companies

Nageshwaran Gopal — Mon, 11 May 2026 16:26:52 GMT

The Securities and Exchange Commission (SEC) on May 5, 2026, issued a rule proposal that would give public companies the option to provide semiannual reports.

The proposal was expected as SEC Chairman Paul Atkins had made it a priority and placed the project on the commission’s fast-track rulemaking agenda last year as part of his goal to “make IPOs great again.” It is also in response to President Trump’s personal recommendation in September 2025 that the SEC revise the reporting rules so that public companies would not be required to report on a quarterly basis.

To dig deeper, visit the original article on the Thomson Reuters blog.

Expert Warns ‘Giant Mergers’ Bill Could Affect Mid-Market Deals

Nageshwaran Gopal — Mon, 11 May 2026 16:17:50 GMT

How the Bill Would Change Current Tax Law

Under current law, corporations can often structure acquisitions and reorganizations to be tax-free. IRC § 368 allows for nonrecognition of gain or loss in qualifying reorganizations, such as statutory mergers or stock-for-assets acquisitions. Similarly, IRC § 351 allows for tax-free transfers of property to a corporation in exchange for stock if the transferors are in control of the corporation immediately after.

The proposed legislation would amend both sections. It would deny tax-free treatment for reorganizations under IRC § 368 and for certain property transfers under IRC § 351 if the combined average annual gross receipts of the involved corporations for the three-year period preceding the transaction exceed $500 million.

To dig deeper, visit the original article on the Thomson Reuters blog.

House Panel Advances Bill Slashing IRS Enforcement Budget, SEC Funds

Nageshwaran Gopal — Mon, 27 Apr 2026 13:34:03 GMT

IRS Enforcement Budget Slashed

House Republicans proposed to reduce the IRS’ enforcement budget for fiscal year 2027 to $3.6 billion from nearly $5 billion in the prior year. The Trump administration also proposed a cut, but not as steep — it called for $4.1 billion for enforcement.

The GOP bill’s sharp reduction in enforcement funding was a major point of contention during the committee markup. FSGG Appropriations Subcommittee Ranking Member Steny Hoyer (D-MD) offered an amendment — that ultimately failed — but would have increased the enforcement budget by $1.8 billion. Hoyer argued that starving the agency of enforcement funding is fiscally irresponsible, comparing it to a business that does not collect its accounts receivable. Cutting IRS funding “has a very real fiscal cost,” he said.

To dig deeper, visit the original article on the Thomson Reuters blog.

Bessent Defends Proposed $1.4B IRS Budget Cut

Nageshwaran Gopal — Mon, 27 Apr 2026 13:33:03 GMT

Enforcement Funding Debated

The proposed budget sparked a debate over its impact on tax enforcement. The Trump administration requested $4.1 billion for IRS enforcement for fiscal year 2027, an 18% reduction from fiscal year 2026. The cuts would come as additional funding for the IRS via the Inflation Reduction Act runs dry, after multiple rescissions.

Ranking Member Jack Reed (D-RI) challenged the reduction, citing the IRS’ own justification that every dollar spent on enforcement yields an $11 return. Senator Chris Van Hollen (D-MD) echoed this, arguing the cuts provide a “windfall to very wealthy people” who don’t pay their taxes.

To dig deeper, visit the original article on the Thomson Reuters blog.

FDIC Proposes Comprehensive Reporting, Audit Rules for Stablecoin Issuers Under GENIUS Act

Nageshwaran Gopal — Mon, 20 Apr 2026 15:00:27 GMT

US GAAP Reporting Framework

Under the proposal, PPSIs are required to prepare certain financial information that complies with U.S. GAAP.

For reserve accounting, reserve assets backing outstanding payment stablecoins would be valued at fair value, except for U.S. coins and currency, which would be valued at face value.

The FDIC said it expects reserve assets to be recorded on the PPSI’s balance sheet under U.S. GAAP and included in quarterly reports required under the proposal and in Call Reports for the parent insured depository institution.

To dig deeper, visit the original article on the Thomson Reuters blog.

Companies Rush to Market Only to See Deals Falter Over Financial Reporting Gaps

Nageshwaran Gopal — Mon, 20 Apr 2026 14:20:39 GMT

A growing wave of retirement-age business owners is heading for the exit—and private equity firms are knocking harder than ever.

That is pushing more middle-market companies into sale talks, but many founders are discovering too late that buyer interest does not mean they are ready for a transaction, advisers say.

The result is a growing pool of what deal advisers describe as “almost sellable“ businesses—companies with enough growth to attract buyers, but not enough financial and operational discipline to withstand due diligence without risking a lower valuation or a failed deal.

To dig deeper, visit the original article on the Thomson Reuters blog.

Sports Betting Tax Hike May Be Fair Game, Analysts Say

Neil Vicente — Mon, 06 Apr 2026 12:53:31 GMT

Sports Betting Booms After Supreme Court Ruling

The sports betting landscape has been completely transformed since 2018, when the Supreme Court’s decision in Murphy v. NCAA struck down a 1992 federal law that had largely prohibited the practice. The ruling “effectively allowed states, any state, to legalize sports betting,” said Andrew Lautz, tax policy director of the Bipartisan Policy Center, leading to what he described to Checkpoint as “absolutely bonkers growth.”

Since that decision, Americans’ sports wagers have skyrocketed from $7 billion in 2018 to $167 billion in 2025, a nearly 24-fold increase, according to Lautz. This explosion has been fueled by technology, with user-friendly apps making it easier than ever to place a bet; of every 20 bets placed in 2024, 19 were online, he said. As of the end of 2024, 38 states and Washington, D.C., had legalized sports betting, with 32 of them taxing the activity, he added.

To dig deeper, visit the original article on the Thomson Reuters blog.

Efficiency unlocked: How First Citizens Bank transformed tax operations with ONESOURCE

Nageshwaran Gopal — Tue, 17 Mar 2026 11:55:20 GMT

The need for efficiency in corporate tax compliance

In today’s financial landscape, efficiency and accuracy in tax compliance are critical for large institutions. For First Citizens Bank, managing complex tax obligations across multiple jurisdictions requires tools that reduce manual work and mitigate risk. Compliance is not optional; it’s a cornerstone of trust and stability for a Fortune 500 bank serving diverse clients. Automating tax processes and integrating systems ensures the tax team can meet deadlines, maintain accuracy, and focus on strategic priorities rather than repetitive tasks.

To dig deeper, visit the original article on the Thomson Reuters blog.

SEC Order Exempts Certain Foreign Jurisdictions From Executive Stock Ownership Disclosure

Nageshwaran Gopal — Tue, 17 Mar 2026 11:32:23 GMT

The Securities and Exchange Commission (SEC) on March 5, 2026, issued an order granting directors and officers of foreign private issuers (FPIs) in certain locations—including Canada and most European countries—an exemption from the filing requirements of Section 16(a) of the Securities Exchange Act of 1934. This provision requires directors and top executives who own more than 10% of the company’s stock to disclose their ownership and any changes by filing Forms 3, 4, and 5 with the SEC.

Section 16(a) is intended to promote transparency and limit undisclosed insider trading activity.

To dig deeper, visit the original article on the Thomson Reuters blog.

Are hidden sales and use tax risks threatening your business agility?

Nageshwaran Gopal — Tue, 17 Mar 2026 11:31:43 GMT

See why manual sales and use tax processes can lead to increased risk and audit threats.

Highlights

Manual sales and use tax processes create hidden risks that threaten business agility and financial stability.
Traditional compliance methods amplify exposure to errors, delays, and regulatory changes across multi-jurisdictional operations.
Intelligent automation and purpose-built technology are essential for proactive risk mitigation and strategic tax leadership.

To dig deeper, visit the original article on the Thomson Reuters blog.

The state of bank confirmations in 2026: A strategic outlook for audit excellence

Nageshwaran Gopal — Tue, 03 Mar 2026 15:51:57 GMT

New regulations, rapid digitization, and a shrinking talent pool are converging. Discover how audit firms can turn 2026’s confirmation challenges into a strategic advantage.

Highlights

New PCAOB requirements and digital transformation are reshaping bank confirmation standards and audit processes in 2026.
Electronic confirmation platforms, automation, and AI are now essential for compliance, efficiency, and fraud prevention.
Audit firms must strategically invest in technology to address staffing shortages and maintain competitive positioning.

To dig deeper, visit the original article on the Thomson Reuters blog.

OBBB Put Pressure on States to Raise Revenues, Analysts Say

Nageshwaran Gopal — Mon, 16 Feb 2026 14:58:41 GMT

State Budget Challenges

The One Big Beautiful Bill, enacted July 4, 2025, created a pair of interlocking fiscal challenges for states, according to Wesley Tharpe, senior advisor for state tax policy at the Center on Budget and Policy Priorities. The first challenge comes from the tax portion of the bill, which has begun to “wreak havoc on state revenue systems” due to the technical interactions between federal and state tax codes, a process known as conformity.

States that automatically conform to the federal Tax Code could see their own revenues decline unless they take action to “de-link” from the federal changes. This comes at a time when a broad swath of states have already made costly policy choices, with 26 states cutting either their personal or corporate income tax rates between 2021 and 2025.

To dig deeper, visit the original article on the Thomson Reuters blog.

IRS Falling Behind on Paperless Processing Goals

Nageshwaran Gopal — Mon, 16 Feb 2026 14:35:54 GMT

The IRS has made limited progress in its efforts to digitize tax returns and may struggle to meet a federal mandate for all records to be in a digital format by 2030, according to an agency watchdog.

A February 6 report issued by the Treasury Inspector General for Tax Administration (TIGTA) reveals that the agency missed key goals for the 2025 filing season amid staffing and contractor challenges.

To dig deeper, visit the original article on the Thomson Reuters blog.

Improving tax client satisfaction: Do your clients know how much you save them?

Nageshwaran Gopal — Mon, 02 Feb 2026 14:36:23 GMT

How clearer communication, smarter automation, and proactive collaboration turn great tax work into lasting client loyalty.

Highlights

Great tax work only drives satisfaction when clients understand its value.
Automation creates the capacity for better client service.
Modern collaboration tools improve client engagement and set the stage for stronger relationships.

To dig deeper, visit the original article on the Thomson Reuters blog.

California’s 2026 Pay Data Reporting Rules Add New Compliance Pressures, Legal Experts Say

Nageshwaran Gopal — Mon, 02 Feb 2026 13:45:59 GMT

California Expands Reporting Requirements Ahead of 2026 Deadline

California employers will face a broader set of reporting duties in 2026 under new guidance from the state’s Civil Rights Department (CRD). Preliminary templates and FAQs for the coming cycle outline expanded data fields that must be submitted by May 13, 2026, including new tracking of employee classifications and work patterns.

The updates coincide with statutory reforms under Senate Bill 464, signed in October 2025, which impose mandatory penalties for non‑filing and require demographic information used in reporting to be stored separately from personnel files.

To dig deeper, visit the original article on the Thomson Reuters blog.

FASB Chair Hopefuls Face a Conflicts Test Tougher Than Congress—Closer to Watchdogs

Nageshwaran Gopal — Mon, 02 Feb 2026 13:44:16 GMT

The search for the next leader of the U.S. accounting rulemaker comes with an unusual condition: before a candidate can help write the standards that govern corporate reporting, they may need to reshape their own personal finances.

The Financial Accounting Foundation (FAF), which oversees the Financial Accounting Standards Board (FASB), is seeking nominations for a new FASB chair and a board member, with terms beginning July 1, 2027, according to a call for nominations by the foundation earlier this month.

To dig deeper, visit the original article on the Thomson Reuters blog.

IRS Provides Guidance on Post-OBBB Bonus Depreciation

Nageshwaran Gopal — Mon, 19 Jan 2026 13:46:02 GMT

OBBB Changes to Bonus Depreciation

Bonus depreciation is a tax incentive under IRC § 168(k) that allows businesses to immediately deduct a percentage of the cost of qualified property in the year it is placed in service, rather than depreciating the cost over the asset’s normal recovery period. The 2017 Tax Cuts and Jobs Act phased down the applicable bonus depreciation percentage beginning in 2023, with full phase-out scheduled for 2027 for most property. The bonus depreciation rate for 2025 pre-OBBB was just 40%. The OBBB, however, permanently reinstated 100% bonus depreciation for qualified property acquired and placed in service after January 19, 2025. It also provided transition provisions.

Specifically, under transition provisions, taxpayers may elect to apply the 40% rate (or 60% for certain long-production-period property and aircraft) for property placed in service during their first tax year ending after January 19, 2025, instead of the 100% rate. This election must be made on a timely filed return. Taxpayers may also elect out of bonus depreciation for any class of property for the tax year. This election applies to all property in the same class placed in service during that year.

To dig deeper, visit the original article on the Thomson Reuters blog.

Treasury Touts Deregulation While Experts Warn of Risks

Nageshwaran Gopal — Mon, 19 Jan 2026 13:23:05 GMT

Amid the Trump administration’s deregulatory efforts, some tax experts cautioned that revamping and simplifying rules could lead to greater uncertainty – and ‘gut’ the Tax Code.

While a key Treasury official defended the administration’s actions at the D.C. Bar Tax Conference January 8, other panelists shared their concerns. And tax practitioners at a PwC media briefing a day later discussed the real-world impacts of deregulation on businesses.

To dig deeper, visit the original article on the Thomson Reuters blog.

Best Practices for Forecasting and Budget Planning in FP&A

Alexander Allan — Tue, 30 Dec 2025 12:03:18 GMT

I work in financial planning and analysis and always try improve our budgeting and forecasting methods. In FP&A we often build models, forecast revenue and expenses, and plan for scenarios that help our company make good decisions. I would like to learn what tools and processes others use for budget forecasting and cost planning especially for long-term projections, sensitivity analysis, and how you manage variance reporting after results come in. Many times we use different software or spreadsheets, but still feel some gaps in accuracy and collaboration with operational teams. Thomson Reuters Community For example, I want hear how people organize monthly and quarterly planning cycles, what techniques help you get more real numbers than guess, and how you communicate results to stakeholders. In my local work I also do things like interior openings estimating services for construction projects, and this taught me how important clear scope and consistent assumptions are when we estimate costs. That experience makes me think more about how FP&A teams can adopt systematic ways to estimate and justify assumptions in models. Any advice on frameworks, tools, or sample workflows you use for financial planning and analysis would be very helpful! Thanks everyone!

The CPA’s guide to explaining self-employment tax to surprised small business owners

Nageshwaran Gopal — Tue, 16 Dec 2025 19:19:38 GMT

A practical framework for turning tax confusion into advisory opportunities.

Highlights

Self-employment tax creates surprise cash flow crises for service providers transitioning from employee status.
OBBBA permanently extends QBI deductions but doesn't reduce the 15.3% self-employment tax burden.
S-corporation election can save $5,000+ annually for businesses earning over $60,000 profit consistently.

To dig deeper, visit the original article on the Thomson Reuters blog.

Common question for CPAs from service providers: The year-end equipment purchase tax myth

Nageshwaran Gopal — Tue, 16 Dec 2025 19:15:38 GMT

Buying equipment in December won't magically erase your tax bill. Discover how 100% bonus depreciation, Section 179, and smarter timing can turn last‑minute "tax moves" into a real multi‑year strategy.

Highlights

Equipment purchases reduce taxable income, not taxes owed dollar-for-dollar.
OBBBA made 100% bonus depreciation permanent, eliminating artificial deadline pressure.
Strategic timing of capital investments now trumps year-end panic buying.

To dig deeper, visit the original article on the Thomson Reuters blog.

Crypto Expert Talks Tax Loss Harvesting While Staying Compliant

Nageshwaran Gopal — Tue, 09 Dec 2025 19:32:35 GMT

Shehan Chandrasekera, head of tax strategy at CoinTracker, offered practical advice on how digital asset holders can optimize tax outcomes while meeting expectations for accurate reporting and documentation.

Tax Loss Harvesting

Tax loss harvesting allows investors to sell digital assets that have declined in value, realize a capital loss, and use that loss to offset capital gains from other investments. Chandrasekera described tax loss harvesting to Checkpoint as “one of the simplest levers you can pull to optimize your tax bill,” especially with cryptocurrencies, which are not subject to the so-called wash sale rule that applies to equities.

To dig deeper, visit the original article on the Thomson Reuters blog.

What Is the Mandatory Roth Requirement for Catch-Up Contributions?

Nageshwaran Gopal — Tue, 09 Dec 2025 19:28:05 GMT

QUESTION: We know that the SECURE 2.0 Act requires us to treat certain catch-up contributions made to our 401(k) plan as Roth contributions. Can you tell us more about this requirement?

ANSWER: As you know, if a 401(k) plan permits it, participants who are age 50 or older can make additional elective deferrals, known as “catch-up” contributions. The SECURE 2.0 Act added Code § 414(v)(7), requiring catch-up contributions made by certain participants to be designated Roth contributions. (As background, Roth contributions are not pre-tax; they are includible in gross income in the year of the contribution. But eligible distributions from the Roth account, including earnings, are generally tax-free.) Here are some key features of the Roth catch-up requirement:

Affected Participants. Roth treatment is required for catch-up contributions made by participants whose wages for the preceding calendar year from the employer sponsoring the plan exceeded $145,000 (annually indexed for inflation). For example, Roth treatment is required for catch-up contributions made in 2026 by any participant whose 2025 wages exceeded $150,000.
Roth Treatment for Other Participants. If a plan allows eligible participants subject to mandatory Roth tax treatment to make catch-up contributions, then all eligible participants must be permitted to make catch-up contributions as designated Roth contributions. That is, participants whose wages are below the threshold for required Roth treatment must be permitted to have their catch-ups designated as Roth contributions.
Plans Without a Roth Component. The catch-up contribution limit for participants subject to mandatory Roth treatment in a plan without a Roth program is $0, precluding these individuals from making catch-up contributions. Thus, while plans are not required to offer Roth treatment, sponsors of plans without a Roth component may wish to consider implementing one to avoid this result for affected participants.

To dig deeper, visit the original article on the Thomson Reuters blog.

CBO Analyzes Distributional Effects of Budget Act

Neil Vicente — Mon, 18 Aug 2025 14:33:15 GMT

The lowest-income earners will lose an average $1,200 in overall household resources each year resulting from the Act of 2025 (P.L. 119-21), while others will see increases, including those in the middle and top percentiles, the Congressional Budget Office told Democrat leaders.

The CBO previously analyzed the distributional effects of the House version of what was then titled the One Big Beautiful Bill Act in June. Four key congressional Democrats asked CBO to provide a similar analysis for the final 2025 budget reconciliation package signed into law by President Trump July 4.

To dig deeper, visit the original article on the Thomson Reuters blog.

R&E Provisions in the New Tax Act

Nageshwaran Gopal — Wed, 16 Jul 2025 00:01:07 GMT

Experts highlighted several business-friendly provisions in the July 4^th tax and spending package — including revisions to the research and experimental (R&E) expenditures deduction.

The new act (P.L. 119-21), formerly known as the One Big Beautiful Bill, made a plethora of changes, from extending and enhancing individual tax provisions, to slashing clean energy tax credits, to making permanent several business provisions.

To dig deeper, visit the original article on the Thomson Reuters blog.